Gone are the days of free rent, generous tenant improvement allowances and other landlord concessions. Colliers claims those perks have shrunk to levels not seen since the Japanese bubble era between 1989 and 1991.

"It's basically a continuation of the healthy growth in office occupancy over the past six months," said research director Mike Hamasu. "And it's likely to continue."

Only some factors, such as inflation, or the tight supply of labor, might slow that growth.

The average islandwide full-service asking rents rose to $2.45 per square foot, per month, islandwide.

For class A spaces, which are growing more scarce -- particularly larger blocks over 10,000 square feet -- the average full-service asking rate was $2.83 per square foot, per month. Rents for class B spaces were at $2.58, and for class C spaces, $2.22.

Much of the land zoned for potential new office construction is being developed into high-rise condominiums, particularly along the Kapiolani corridor. With rising construction costs, office rents would have to more than double before developers would consider building a new one, according to Colliers.

"It's kind of like a race," said Hamasu. "If office rents surpass the current pace of construction increases, then possible development could occur five to six years out."

Meanwhile, construction costs have gone up more than 30 percent over the last year, and are still on the rise. Land prices are also on the rise, painting a bleak picture for possible new office developments in Honolulu.

Colliers forecasts double-digit net increases, higher operating expenses, and an office vacancy rate close to 7 percent by year end.